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Because they like the home, other than that I see no benefit to this type of purchase.
I dont know.
I have no idea! I had a buyer looking at a co-op but the HOA was $825 a month including utilities. After hearing the monthly fees that buyers decided a condo was better.
I know of a co-op where a lump, nearly fixed sum buys you in and it is very affordable (small). Condos are subject to market value are my thoughts
Co-ops in Florida are typically less expensive to purchase. The greatest issues I have heard voiced regarding the MISTAKE of buying a co-op is what is required when the time to sell arrives. Make certain you know who is in control and who sets the price.
Both methods of ownership have a variety of pros and cons. In the Toronto area, condos are a significantly more common form of ownership than co-operatives.
Because lenders do not want to lend on co-ops, typically they carry a lower price tag than a condo.
A coop was conceived by very rich people who wanted to hide ownership interest. Coops are taxed as one entity and therefore do not show ownership interest. A way very rich people can hide assets and interest in the property. Coops today have strayed away from this original intent.
The choice may relate more to the building in which they wish to purchase rather than the form of ownership. We owned a cooperative apartment when we lived on the oceanfront at Virginia Beach.
With a cooperative, you purchase personal property and receive a certificate of ownership rather than a deed. In some areas, cooperatives are more difficult to finance than condominiums.
They own a piece of the rock, versus just the inside 4 walls of their unit. Thus when selling, can expect a stronger retrun on their investment if an appreciating market.